Alaska Energy Grant Renewable Energy

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Kotzebue Electric Association Waste Heat Recovery & Power Renewable Energy Fund Grant November 10th 2008 more. Combining efforts with these utilities will reduce the overall cost of shipping, of both the necessary crane and turbines. KEA would like to begin construction and foundation work in the summer of 2009. The wind turbines have a lead time of 12 months, allowing for turbine erection in the spring of 2010. 4.4.6.1.4. Challenges: At most KEA currently has 50% wind energy on the grid system at any one time. This allows for a stable and reliable grid. A system which has over 100% wind energy cannot function without considerable creative measures. One of which is the installation of a VRB Flow Battery which is designed to absorb any surges caused by wind gusts and provide the needed frequency control. These design issues are being addressed. 4.4.6.2. Vanadium Red-Ox Flow Battery 4.4.6.2.1. Objective The installation of a Vanadium Red-Ox Flow Battery Energy Storage System (VRFB) will increase voltage stability, increase the efficiencies of operating diesel generators, and capture excess wind energy during off-peak hours. 4.4.6.2.2. Benefits The VRFB will benefit KEA’s existing system in three specific ways. Diesel turbines run most efficiently when operating to the fullest capacity. Charging the battery, when the generator would otherwise operate below ideal conditions, will increase overall system efficiency. Secondly, KEA runs one EMD year round and supplements this with a second CAT generator when the load demands it. Instead of starting the second generator, the VRFB will supply the electricity. Normally, the CAT gen set is run approximately 3,200 hrs per year. This will be reduced to less than 350 hrs per year with the VRFB online. This results to a direct reduction in diesel consumption. Thirdly, in order to realize the benefits of increasing the level of wind penetration in Kotzebue, energy storage MUST be utilized. The simple payback for the VRFB is under three years. 4.4.6.2.3. Scope of Work Phase one, Initial Design and Engineering, of this system has been funded and will be completed on October 31st, 2008. Phase Two, summer 2009, will consist of the construction of an Energy Storage Facility and the installation of a 600kW/1800kWh system. Phase Three will continue in 2010 and will be sized for the increased wind capacity. The sizing of this system will most likely be 900kW/1800kWh although the modeling is part of Phase One which is currently being completed. Page 41 of 48

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